Bill Text: IA SF18 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act relating to the elimination of the certificate of need process relating to the development of a new or changed institutional health service.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-02-06 - Fiscal note. [SF18 Detail]
Download: Iowa-2019-SF18-Introduced.html
Senate
File
18
-
Introduced
SENATE
FILE
18
BY
ZAUN
A
BILL
FOR
An
Act
relating
to
the
elimination
of
the
certificate
of
need
1
process
relating
to
the
development
of
a
new
or
changed
2
institutional
health
service.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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Section
1.
Section
68B.35,
subsection
2,
paragraph
e,
Code
1
2019,
is
amended
to
read
as
follows:
2
e.
Members
of
the
state
banking
council,
the
Iowa
ethics
3
and
campaign
disclosure
board,
the
credit
union
review
board,
4
the
economic
development
authority,
the
employment
appeal
5
board,
the
environmental
protection
commission,
the
health
6
facilities
council,
the
Iowa
finance
authority,
the
Iowa
public
7
employees’
retirement
system
investment
board,
the
board
of
8
the
Iowa
lottery
authority,
the
natural
resource
commission,
9
the
board
of
parole,
the
petroleum
underground
storage
tank
10
fund
board,
the
public
employment
relations
board,
the
state
11
racing
and
gaming
commission,
the
state
board
of
regents,
the
12
transportation
commission,
the
office
of
consumer
advocate,
the
13
utilities
board,
the
Iowa
telecommunications
and
technology
14
commission,
and
any
full-time
members
of
other
boards
and
15
commissions
as
defined
under
section
7E.4
who
receive
an
annual
16
salary
for
their
service
on
the
board
or
commission.
The
Iowa
17
ethics
and
campaign
disclosure
board
shall
conduct
an
annual
18
review
to
determine
if
members
of
any
other
board,
commission,
19
or
authority
should
file
a
statement
and
shall
require
the
20
filing
of
a
statement
pursuant
to
rules
adopted
pursuant
to
21
chapter
17A
.
22
Sec.
2.
Section
97B.1A,
subsection
8,
paragraph
a,
23
subparagraph
(8),
Code
2019,
is
amended
to
read
as
follows:
24
(8)
Members
of
the
state
transportation
commission
,
and
the
25
board
of
parole
,
and
the
state
health
facilities
council
.
26
Sec.
3.
Section
135.131,
subsection
1,
paragraph
a,
Code
27
2019,
is
amended
to
read
as
follows:
28
a.
“Birth
center”
means
birth
center
as
defined
in
section
29
135.61
a
facility
or
institution,
which
is
not
an
ambulatory
30
surgical
center
or
a
hospital
or
in
a
hospital,
in
which
31
births
are
planned
to
occur
following
a
normal,
uncomplicated,
32
low-risk
pregnancy
.
33
Sec.
4.
Section
135C.2,
subsection
5,
unnumbered
paragraph
34
1,
Code
2019,
is
amended
to
read
as
follows:
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The
department
shall
establish
a
special
classification
1
within
the
residential
care
facility
category
in
order
to
2
foster
the
development
of
residential
care
facilities
which
3
serve
persons
with
an
intellectual
disability,
chronic
mental
4
illness,
a
developmental
disability,
or
brain
injury,
as
5
described
under
section
225C.26
,
and
which
contain
five
or
6
fewer
residents.
A
facility
within
the
special
classification
7
established
pursuant
to
this
subsection
is
exempt
from
the
8
requirements
of
section
135.63
.
The
department
shall
adopt
9
rules
which
are
consistent
with
rules
previously
developed
10
for
the
waiver
demonstration
project
pursuant
to
1986
Iowa
11
Acts,
ch.
1246,
§206
,
and
which
include
all
of
the
following
12
provisions:
13
Sec.
5.
Section
135H.6,
subsection
1,
Code
2019,
is
amended
14
to
read
as
follows:
15
1.
The
department
shall
issue
a
license
to
an
applicant
16
under
this
chapter
if
all
the
following
conditions
exist:
17
a.
The
department
has
ascertained
that
the
applicant’s
18
medical
facilities
and
staff
are
adequate
to
provide
the
care
19
and
services
required
of
a
psychiatric
institution.
20
b.
The
proposed
psychiatric
institution
is
accredited
21
by
the
joint
commission
on
the
accreditation
of
health
22
care
organizations,
the
commission
on
accreditation
of
23
rehabilitation
facilities,
the
council
on
accreditation
of
24
services
for
families
and
children,
or
by
any
other
recognized
25
accrediting
organization
with
comparable
standards
acceptable
26
under
federal
regulation.
27
c.
The
applicant
complies
with
applicable
state
rules
28
and
standards
for
a
psychiatric
institution
adopted
by
the
29
department
in
accordance
with
federal
requirements
under
42
30
C.F.R.
§441.150
–
441.156.
31
d.
The
applicant
has
been
awarded
a
certificate
of
need
32
pursuant
to
chapter
135
,
unless
exempt
as
provided
in
this
33
section
.
34
e.
d.
The
department
of
human
services
has
submitted
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written
approval
of
the
application
based
on
the
department
of
1
human
services’
determination
of
need.
The
department
of
human
2
services
shall
identify
the
location
and
number
of
children
in
3
the
state
who
require
the
services
of
a
psychiatric
medical
4
institution
for
children.
Approval
of
an
application
shall
be
5
based
upon
the
location
of
the
proposed
psychiatric
institution
6
relative
to
the
need
for
services
identified
by
the
department
7
of
human
services
and
an
analysis
of
the
applicant’s
ability
to
8
provide
services
and
support
consistent
with
requirements
under
9
chapter
232
,
particularly
regarding
community-based
treatment.
10
If
the
proposed
psychiatric
institution
is
not
freestanding
11
from
a
facility
licensed
under
chapter
135B
or
135C
,
approval
12
under
this
paragraph
shall
not
be
given
unless
the
department
13
of
human
services
certifies
that
the
proposed
psychiatric
14
institution
is
capable
of
providing
a
resident
with
a
living
15
environment
similar
to
the
living
environment
provided
by
a
16
licensee
which
is
freestanding
from
a
facility
licensed
under
17
chapter
135B
or
135C
.
18
f.
e.
The
proposed
psychiatric
institution
is
under
19
the
direction
of
an
agency
which
has
operated
a
facility
20
licensed
under
section
237.3,
subsection
2
,
paragraph
“a”
,
as
21
a
comprehensive
residential
facility
for
children
for
three
22
years
or
of
an
agency
which
has
operated
a
facility
for
three
23
years
providing
psychiatric
services
exclusively
to
children
or
24
adolescents
and
the
facility
meets
or
exceeds
requirements
for
25
licensure
under
section
237.3,
subsection
2
,
paragraph
“a”
,
as
a
26
comprehensive
residential
facility
for
children.
27
g.
f.
If
a
child
has
an
emotional,
behavioral,
or
mental
28
health
disorder,
the
psychiatric
institution
does
not
require
29
court
proceedings
to
be
initiated
or
that
a
child’s
parent,
30
guardian,
or
custodian
must
terminate
parental
rights
over
31
or
transfer
legal
custody
of
the
child
for
the
purpose
of
32
obtaining
treatment
from
the
psychiatric
institution
for
the
33
child.
Relinquishment
of
a
child’s
custody
shall
not
be
a
34
condition
of
the
child
receiving
services.
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Sec.
6.
Section
135H.6,
subsections
3,
4,
and
5,
Code
2019,
1
are
amended
to
read
as
follows:
2
3.
In
addition
to
the
beds
authorized
under
subsection
2
,
3
the
department
of
human
services
may
establish
not
more
than
4
thirty
beds
licensed
under
this
chapter
at
the
state
mental
5
health
institute
at
Independence.
The
beds
shall
be
exempt
6
from
the
certificate
of
need
requirement
under
subsection
1
,
7
paragraph
“d”
.
8
4.
The
department
of
human
services
may
give
approval
to
9
conversion
of
beds
approved
under
subsection
2
,
to
beds
which
10
are
specialized
to
provide
substance
abuse
treatment.
However,
11
the
total
number
of
beds
approved
under
subsection
2
and
this
12
subsection
shall
not
exceed
four
hundred
thirty.
Conversion
13
of
beds
under
this
subsection
shall
not
require
a
revision
of
14
the
certificate
of
need
issued
for
the
psychiatric
institution
15
making
the
conversion.
Beds
for
children
who
do
not
reside
16
in
this
state
and
whose
service
costs
are
not
paid
by
public
17
funds
in
this
state
are
not
subject
to
the
limitations
on
the
18
number
of
beds
and
certificate
of
need
requirements
otherwise
19
applicable
under
this
section
.
20
5.
A
psychiatric
institution
licensed
prior
to
July
1,
1999,
21
may
exceed
the
number
of
beds
authorized
under
subsection
2
22
if
the
excess
beds
are
used
to
provide
services
funded
from
a
23
source
other
than
the
medical
assistance
program
under
chapter
24
249A
.
Notwithstanding
subsection
1
,
paragraphs
“d”
and
“e”
25
paragraph
“d”
,
and
subsection
2
,
the
provision
of
services
using
26
those
excess
beds
does
not
require
a
certificate
of
need
or
a
27
review
by
the
department
of
human
services.
28
Sec.
7.
Section
135P.1,
subsection
3,
Code
2019,
is
amended
29
to
read
as
follows:
30
3.
“Health
facility”
means
an
institutional
health
facility
31
as
defined
in
section
135.61
,
hospice
licensed
under
chapter
32
135J
,
home
health
agency
as
defined
in
section
144D.1
,
33
assisted
living
program
certified
under
chapter
231C
,
clinic,
34
or
community
health
center,
and
includes
any
corporation,
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professional
corporation,
partnership,
limited
liability
1
company,
limited
liability
partnership,
or
other
entity
2
comprised
of
such
health
facilities.
3
Sec.
8.
Section
135P.1,
Code
2019,
is
amended
by
adding
the
4
following
new
subsection:
5
NEW
SUBSECTION
.
3A.
“Institutional
health
facility”
means
6
any
of
the
following,
without
regard
to
whether
the
facilities
7
referred
to
are
publicly
or
privately
owned
or
are
organized
8
for
profit
or
not
or
whether
the
facilities
are
part
of
or
9
sponsored
by
a
health
maintenance
organization:
10
a.
A
hospital.
11
b.
A
health
care
facility.
12
c.
An
organized
outpatient
health
facility.
13
d.
An
outpatient
surgical
facility.
14
e.
A
community
mental
health
facility.
15
f.
A
birth
center.
16
Sec.
9.
Section
231C.3,
subsection
2,
Code
2019,
is
amended
17
to
read
as
follows:
18
2.
Each
assisted
living
program
operating
in
this
state
19
shall
be
certified
by
the
department.
If
an
assisted
living
20
program
is
voluntarily
accredited
by
a
recognized
accrediting
21
entity,
the
department
shall
certify
the
assisted
living
22
program
on
the
basis
of
the
voluntary
accreditation.
An
23
assisted
living
program
that
is
certified
by
the
department
on
24
the
basis
of
voluntary
accreditation
shall
not
be
subject
to
25
payment
of
the
certification
fee
prescribed
in
section
231C.18
,
26
but
shall
be
subject
to
an
administrative
fee
as
prescribed
by
27
rule.
An
assisted
living
program
certified
under
this
section
28
is
exempt
from
the
requirements
of
section
135.63
relating
to
29
certificate
of
need
requirements.
30
Sec.
10.
Section
249K.2,
subsection
6,
Code
2019,
is
amended
31
to
read
as
follows:
32
6.
“New
construction”
means
the
construction
of
a
new
33
nursing
facility
which
does
not
replace
an
existing
licensed
34
and
certified
facility
and
requires
the
provider
to
obtain
a
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certificate
of
need
pursuant
to
chapter
135,
division
VI
.
1
Sec.
11.
Section
505.27,
subsection
5,
paragraph
a,
Code
2
2019,
is
amended
to
read
as
follows:
3
a.
“Health
care
provider”
means
the
same
as
defined
in
4
section
135.61
,
a
person
licensed
or
certified
under
chapter
5
147,
148,
148A,
148C,
149,
151,
152,
153,
154,
154B,
154F,
6
or
155A
to
provide
in
this
state
professional
health
care
7
service
to
an
individual
during
that
individual’s
medical
care,
8
treatment,
or
confinement;
a
hospital
licensed
pursuant
to
9
chapter
135B
;
,
or
a
health
care
facility
licensed
pursuant
to
10
chapter
135C
.
11
Sec.
12.
Section
708.3A,
subsection
5,
paragraph
d,
Code
12
2019,
is
amended
to
read
as
follows:
13
d.
“Health
care
provider”
means
an
emergency
medical
care
14
provider
as
defined
in
chapter
147A
or
a
person
licensed
15
or
registered
under
chapter
148
,
148C
,
148D
,
or
152
who
is
16
providing
or
who
is
attempting
to
provide
emergency
medical
17
services,
as
defined
in
section
147A.1
,
or
who
is
providing
18
or
who
is
attempting
to
provide
health
services
as
defined
19
in
section
135.61
in
a
hospital.
A
person
who
commits
an
20
assault
under
this
section
against
a
health
care
provider
in
21
a
hospital,
or
at
the
scene
or
during
out-of-hospital
patient
22
transportation
in
an
ambulance,
is
presumed
to
know
that
the
23
person
against
whom
the
assault
is
committed
is
a
health
care
24
provider.
25
Sec.
13.
Section
708.3A,
subsection
5,
Code
2019,
is
amended
26
by
adding
the
following
new
paragraph:
27
NEW
PARAGRAPH
.
0e.
“Health
services”
means
clinically
28
related
diagnostic,
curative,
or
rehabilitative
services,
and
29
includes
alcoholism,
drug
abuse,
and
mental
health
services.
30
Sec.
14.
REPEAL.
Sections
135.61
through
135.73,
and
31
section
135B.5A,
Code
2019,
are
repealed.
32
Sec.
15.
CODE
EDITOR
DIRECTIVE.
The
Code
editor
is
33
directed
to
modify
the
title
of
chapter
135,
division
VI,
as
34
“Hospital
and
health
care
facility
reporting,
data,
analyses,
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and
studies”
and
to
correct
internal
references
in
the
Code
as
1
necessary
due
to
enactment
of
this
Act.
2
EXPLANATION
3
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
4
the
explanation’s
substance
by
the
members
of
the
general
assembly.
5
This
bill
eliminates
the
certificate
of
need
(CON)
process
6
required
prior
to
the
offering
or
development
of
a
new
or
7
changed
institutional
health
service
and
makes
conforming
8
changes
throughout
the
Code.
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